S-Corp Reasonable Salary Employment Tax Savings Calculator

Use this endpoint when you need a fast, focused calculation of the employment tax savings from the S-corp reasonable salary strategy — specifically the difference between SE tax on full sole-proprietor profit versus FICA on an S-corp salary plus a tax-exempt distribution. Prefer this over a full tax estimator when the user only wants to understand the payroll tax arbitrage of the S-corp election, not their complete federal/state income tax picture.

• reasonableSalary exceeds businessProfit — logically invalid split, may return zero or negative savings
• businessProfit or reasonableSalary below 0 or above maximum — validation error
• Missing required businessProfit or reasonableSalary fields — 422 or 400 error
• Invalid filingStatus value outside enum — schema validation failure
• Very low salary relative to profit may be flagged as outside IRS reasonable compensation norms (informational, not blocking)